The Australian Transport Safety Bureau has launched an investigation into a boat collision at the Port of Devonport.
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TasPorts later confirmed the sinking of both tugs at 5pm.
There were no injuries reported and both tugboats were unoccupied at the time the crash.
ATSB chief commissioner Angus Mitchell said an investigation into the incident has begun.
"A team of transport safety investigators from ATSB's Canberra, Melbourne, and Sydney offices with expertise in marine operations and data recorders are deploying to the accident site," he said.
"On site, investigators will examine the vessels and site surrounds, conduct interviews with involved parties and witnesses and review logs.
"The ATSB will download data from the ship's voyage data recorder and other recordings for detailed examination in the ATSB's technical facilities in Canberra."
"The ATSB will download data from the ship's voyage data recorder and other recordings for detailed examination in the ATSB's technical facilities in Canberra."
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The ATSB has called on anyone with information or footage of the crash to make contact via the witness form on its website.
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